here is the question

8 In February 2022 the E/$ (euro/dollar) exchange rate was 0.88E/$. In France, a country that uses Euros as currency, the average price of the game Monopoly was E22, while in the United States, a country that uses dollars as currency, the average price of the game Monopoly was $25. From this information we can infer that: Select one answer: O The exchange rate is too low. The euro should appreciate to ensure that purchasing power parity holds. O The exchange rate is too high. The euro should appreciate to ensure that purchasing power parity holds. O The exchange rate is too low. The dollar should appreciate to ensure that purchasing power parity holds. O The exchange rate is approximately correct. Purchasing power parity holds